A Study on BRAC Bank Limited

Internship Report On

“Marketing of Financial Services” A study on BRAC Bank Limited

]

Submitted To:

Dr. Masudur Rahman Adviser Department of Business Administration Daffodil International University

Submitted By Md. Foysal Jahid Program: MBA ID No: 142-14-1470 Batch: 38th Major: Marketing Daffodil International University

Date of Submission:

Letter of Transmittal

Dr. Masudur Rahman

Adviser

Daffodil International University

Subject: Submission of the Internship Report

Dear Sir,

I am here by submitting my report on "Marketing of Financial Services of BRAC Bank Limited". While preparing this report, I worked as an intern at BRAC Bank Ltd. Under the supervision of Md. Toufiqul Islam, Associate Sales Manger, Retail Sales, Remittance & payroll, Retail Banking Division, Shamprity Business Center, BRAC Bank Ltd. Bangladesh.

I feel most privileged to be associated with an experienced, efficient and professional team in one of the most reputed banks of Bangladesh. I have tried my best to make this report as informative, practical, reliable and relevant as possible. In preparation of this report, I have reviewed few books, journals, articles from the internet, and conducted few interviews. I strongly believe that this report will satisfy your requirements and expectations.

Sincerely

Md. Foysal Jahid

ID. NO: 142-14-1470

ACKNOWLEDGEMENT

At the very beginning, I am solemnly thanking the Almighty Allah. Completion of anything requires supports from various sources. I am very much fortunate to get the sincere guidance and supervision from a number of persons. My sincere gratitude goes to Md. Toufiqul Islam, Associate Sales Manger, Retail Sales, Remittance & payroll, Retail Banking Division, BRAC Bank Ltd. Bangladesh. The whole report so carefully and for giving me valuable advices and suggestions to complete the whole thing in a right manner.

My heartiest gratitude also goes to Mr. Dipu Richard Palma, Product Officer, Deposit & NFB, Retail Products & Collections and Mr. Rofiqul Islam Khan, Associate Product Manager, Deposit & NFB, Retail Products & Collections who have been so kind and helpful to me during my Internship period. They helped me in every possible way even though they used to remain busy all through the day. Their contribution towards this report is worth than ever. It was a great honor to work with such kind, hard-working and helpful officers.

I am deeply indebted to my Supervisor, Masudur Rahman, Adviser of MBA Department, Daffodil International University; who permitted and supported me to work on Marketing Financial Services of BRAC Bank .I am extremely grateful for giving me such an opportunity that has enriched my area of knowledge vastly. At last we would like to thank all other parties who have helped us for collecting information and completing the report.

Executive Summary

This Report represents the working experience on private sector commercial Bank operated in Bangladesh named “BRAC Bank Limited” (BBL) as internship report for MBA Program. BRAC Bank intends to set standards as the Market leader in Bangladesh. It will demonstrate that a locally owned institution can provide efficient, friendly and Modern full-service banking on a profitable basis. The main objective of the study is to get knowledge about the Retail Banking of BRAC Bank Limited And also gaining the Practical experience of corporate life and view the application of Theoretical knowledge in the real life. Besides the objectives of the study is to have knowledge about dealing with the customer. To find the problems which the organization are facing to initiate relationship with the customer account. To make some recommendations and conclusion to further the development of Retail Banking of BRAC Bank Limited. In these report different types of assessment tools is discussed that bank use for the assessment of their staff. Different type of promotional techniques that bank use for the promotion of their product promotion also discussed basis on qualitative and quantitative strategy. Based on their promotion promotional activities some recommendations will also suggest that will helpful to increase the product selling and quality of customer services. Sampling Methodology, data collection methodology and data analysis procedure had been followed in this report. In this report has discussed about the BRAC Bank Ltd. Mission, vision, organ gram, of BRAC Bank Ltd. In chapter four is basically discussion about retail banking and its product and marketing policy, Retail marketing, Channel development, Retail risk, Alternative Banking. BRAC Bank is maintaining its competitiveness by leveraging on its online Banking software and modern IT infrastructure. Its retail division is an excellent banking division of it. The operations process of Bank is smooth and excellent. Here has got some positive findings and negative findings which is BBL tries to provide quick services to the customers and try to solve problems of the customers as soon as possible. All the employees of the customer services to the customers and try to solve problems of the communicational skills. Customers of the Bank pursue a great attitude about the Bank. BBL provides excellent banking environment for both the customer and the bankers. BBL customer service charges are much higher than other commercial Banks in Bangladesh. This charges system should be charged. Otherwise it can be threat for the Bank in future. The

remuneration package dissatisfies the bankers because it is for their hard work. From the analysis and observation, some recommendations have been formulated in order to smooth operation of Banking Business. That is Skilled manpower in the line of Retail Banking Operation must be accomplished through proper training, remuneration and job satisfaction. Latest development in the business should be introduced accordingly. Since the whole process is largely depend on human skill, properly planned training program should be arranged and implemented for the improvement of technical and conceptual skills of the dealing officers. So From this report I can say that It is the pioneer amongst the local banks in Bangladesh.

Table of Contents:

Chapter One: Industry Analysis & Banking Sector in Bangladesh

1.1 Industry Analysis 1

1.2 Banking Sector in Bangladesh 1

Chapter Two: Overview of BRAC Bank Limited

2.1 Knowing BRAC Bank 4

2.2 Shareholding Structure 5

2.3 Achievement & Recognitions 5 2.4 Vision of BRAC Bank Limited 6

2.5 Mission of BRAC Bank Limited 6

2.6 Goal of BRAC Bank Limited 6

2.7 Objectives of BRAC Bank Limited 6 2.8 SWOT analysis 7

Chapter Three: Lessons Learnt from the Internship Program

3.1 Knowing what is Retail Banking 13

3.2 Financial Highlights 13 3.3 Financial performance of BRAC Bank limited for last few years 14

3.4 Product and Services offered by BRAC Bank limited 14

3.5 Business Highlights 23

3.6 Others Unit of Retail Banking 25

3.7 Customer Experience 27 3.8 Business development team: PB, supreme, excel, easy 29

3.9 Non- funded business (NFB) 37

3.10 Retail Lending Product: 39

3.11 Retail Marketing 40

3.12 Retail Risk 42 Chapter Four: Working on Customer Experience

4.1 My Working Process and functions at BRAC Bank 45

4.2 Daily Activities 45

4.3 Achievement 45

47-50

Chapter Five: Concluding Part

Chapter 1

Introduction

Objectives of the study:

The main objective of the internship is to gather practical knowledge regarding banking system and operation. This practical orientation gives me a chance to coordinate out theoretical knowledge with practical experience. The following are some of the objective for this practical orientation in bank:

 To apply theoretical knowledge in the practical field.    To explore the financial products of BRAC Bank Ltd   To analysis the marketing practices of BRAC Bank Ltd    To recommend some strategy to enhance the marketing strategies.

Methodology of the Study:

This report is based mainly on observations that I experienced during the internship period. Methodology is very important subject. We will gather the subject are mainly occasion the motions are very important.

Sources of Data: In order to make the report more meaningful and presentable, the following of data and information have been used widely:

Primary Sources:

 Face to face conversation with the respective officers.    Conversation with the customers.    Relevant file study as provided by the officers concerned.    Personal Observation. 

Secondary Sources:

 Annual report of BRAC Bank Limited.    Periodicals published by the Bangladesh Bank.    Website of BRAC Bank Limited. 

Chapter - 2

Industry Analysis & Banking Sector in Bangladesh

1.1. Industry Analysis:

The bank enriches our country's economic situation. Banks provide loans from different countries and accelerate the economic situation of the country. In this sector, we consolidate our economic well-being with debt. This Bank is a comprehensive tool for development in our country.

They are also called deposit banks, as they accept deposit from the public and lend them for short and long periods.

1.2. Banking Sector in Bangladesh:

Banks play an important role in our economic activities. The importance of the banker in a developing country is unpredictable. The importance of this bank is very important in a country like Bangladesh. Development of this bank's entrepreneurship. The banking sector of Bangladesh is divided into four categories of scheduled banks. Subsequently in the mid 90’s some more banks in private sector also commenced operations. Finally, in 1999, 3rd generation of private sector banks was given permission to operate.

Scheduled banks in Bangladesh (Bangladesh Bank, 2015) operating under the supervision of Bangladesh Bank that has been empowered through Bangladesh Bank Order, 1972 and Bank Company Act, 1991.

Chapter- 3

Overview of BRAC Bank Limited

2.1 Knowing BARC BANK:

BRAC Bank is a commercial bank. It was demonstrated in 1991. On May 20, 1999, a private company was found to be in the heart.

The first purpose of this bank is to provide banking business. There was some legal problem in this bank which had stopped the activities in the Bangladesh High Court. Finally, the High Court verdict was rejected. It failed to start the program on 3 rd June 2001.

The bank started operations on 4th July 2001. Chairman of this bank, Sir Fazle Hasan Abed. Bank managing director Dr. Syed Mahbubur Rahman. Bank has progressed due to his vision and proper policy.

BRAC Bank offers 100% online banking facility. BRAC Bank is a complete commercial bank. It offers small business loans to small businessmen. So far, 9750 crore taka has been disbursed.

The management of the bank believes that this sector of the economy can contribute the most to the rapid generation of employment in Bangladesh through a team of over 8,000 employees. BRAC Bank offers a broad range of products and services, including SME, retail, commercial and corporate banking to more than 1.2 million customers.

There are 155 branches of BRAC Bank with 400 SME units. There are more than 320 ATM booths with 675 remittance delivery point

2.2 Shareholding Structure: Name of Shareholder % of Shareholding

BRAC 43.77

International Finance Corporation 5.36

ShoreCap Limited 0.86

Non-Resident Bangladeshi 0.43

Mutual Funds 3.22

Institutions and General Public 46.36

2.3 Achievements and Recognitions:

   Retail Banker Award 2011 from Asian Banker.    Best Retail Banker Award 2011 from Asian Banker.    FT-IFC Sustainable Bank of the Year 2010 (Emerging Markets, Asia).    IFC awarded BRAC Bank as the Most Active Global Trade Finance.    Program (GTFP), Issuing Bank in South Asia in 2010.    Member of Global Alliance for Banking on Values (GABV).    ICAB National Award 2009.    DHL–Daily Star Bangladesh Business Awards 2008.    NBR National Award as the Highest VAT payer for the financial year.    bKash (Mobile banking service) Ltd.

2.4 Vision of BRAC Bank:

With the establishment of financial institutions in many places, these banks increase market and business. As a result, it helps in building a poverty-free Bangladesh. This bank plays a major role in economic development of Bangladesh.

2.5 Mission of BRAC Bank:

The corporate mission of BRAC Bank is given below.

 The low cost of bank increment of this bank.   The low cost deposit bank of this solution.    This bank self-liability mobilization contain.   This bank increase fee based income.   This bank compromise on service quality.  Keep a diverse, far flung team fully motivated and driven towards materializing the bank's vision into reality.      2.6 Goal of BRAC Bank:

The main objective of BRAC Banker is to develop Bangladesh as a developing country. One more purpose of this bank is to provide the right services to the people. This bank will be the preferred bank of the people as a model. This bank is important in providing human services .

2.7 Objectives of BRAC Bank:

It was established as the second largest bank of Bangladesh by 2009. This bank is the country's largest bank. Growing bank now wants to grow as a bullion bank. This banker's business is going to increase day by day, which is the compare of another bank.

The objectives of BRAC Bank Limited are specific and targeted to its vision and to position itself in the mindset of the people as a bank with difference. The objectives of BRAC Bank Limited are as follows:

 The bank relationship based on integrity, superior service are contain.   This bank is profit sound main the city .   This bank enabling environment of Bangladesh bank.   This bank profit sound environments capable.    To relentless in pursuit of business innovation and improvement.    The bank recognition reward on performance.   The bank saving and challenging of motivation.    To finance the international trade both in import and export.    The bank providing Consumer credit are very interested.     2.8 SWOT Analysis:

There are many kinds of subject it is very important subject SWOT analysis . SWOT analyzes a large role in evaluating the power, weakness, scope and threat of the company. This organization can assess the performance of the company.

Strengths:

Company Reputation

Sponsors:

This banks have been demonstrated due to the prominent leaders of the country. This bank was established on the basis of Professor H Abad’s financial power. From here onwards, BRAC Bank is selected as the largest financial bank of this.

Top Management:

BKash is the top management of this bank. This development is playing a very important role in the economic direction. At this stage, the top local managers are more interested in the

bank by showing their skills. With the different policies of these banks, the development of this bank has continued to grow.

Facilities and equipment:

There are various tools to provide all the services to these bank customers. This banker has a software that can handle all the banking activities of the bank. Such counter machines provide quick service and service through various statements on computer.

Impressive branches:

This creates a positive image in the minds of the potential customers and many people get attracted to the bank. This is also an indirect marketing campaign for the bank for attracting customers. 26 branches of the bank are impressive and are compatible to foreign banks.

Weaknesses:

1) Advertising and promotion of SME loan:

There are many kinds of weakness sme loan is very important subject. The bank are most important banking system. The bank some body is mainly smooth activities.

2) GO name (BRAC):

There are many kinds of bank BRAC BANK is best performance. BRAC is one of the largest NGO of the world and it is operating its activities in Bangladesh. BRAC bank is not a NGO bank but many people of them country consider it as a NGO bank like Grameen bank which is not correct.

3) Low remuneration package:

BRAC Bank is less salaried employees than other banks. Low job security. More than the amount of loan interest. Especially the CRO employees of this bank are not satisfied. As a result, employees of the bank are not interested in the work of the bank.

Opportunities:

Diversification:

BRAC Bank can follow various strategies. Its management can make a difference between leasing and insurance. By expanding portfolio activities, BBL may reduce the risk of their business.

Product line proliferation:

In this competitive environment BBL must expand its product line to enhance its sustainable competitive advantage. As a part of its product line proliferation, BBL can introduce the following products.

ATM:

This is the fastest growing modern banking concept. BBL should grab this opportunity and take preparation for launching ATM. Since BBL is a local bank, they can form an alliance with other contemporary banks in launching the ATM.

Threats:

Multinational banks:

This bank is establishing more branches across the country. Of these, SMEs are running. Due to rising energy, more foreign banks are keen to come to Bengal. Since there is a lot of financial power in the foreign banks, these banks are also permanently bankrupt

Upcoming banks:

The upcoming private local banks can also pose a threat to the existing private commercial banks like BBL. It is expected that in the next few years more local private banks may emerge. If that happens the intensity of competition will rise further and banks will have to develop strategies to compete against an on slaughter of foreign banks.

Contemporary banks:

Dhaka Bank, Dutch Bangla Bank is the main competitor of this bank. Islamic banks and other banks have been aggressively promoting attracting customers as well as attracting depositors.

Default culture: This is major problem in Bangladesh. There are many kinds of culture Default culture is Very important part. This bank man this power contain default culture. There are migrating power of this bank.

Rating Chart:

SL SWOT RATE TOTAL POSITION

1 Strength 0.6 X 12 53

2 Weakness 0.2 X 1 13

3 Opportunities 0.4 X 12 33

4 Threats 0.2 X 12 13

=100%

Chapter-4

3.1 Knowing what is Retail Banking:

Retail banking is when a bank operates directly with other customers instead of other banks, as retail banking. Public loan transaction through private banks such as private lenders, David Cards and credit cards. But this is it.

3.2 Financial Highlights

• In 2014 Branch Banking focused on changing the deposit composition by bringing more CASA deposit so that bank can get a low cost deposit base. Even in a year of greatest political unrest Branch Banking ensured CASA deposit net growth of BDT 3,564 million which 11.25 times more than net growth of 2013. • Retail Current & Savings deposit portfolio grew by BDT 3,693 million (17% growth) in 2014. • Non funded income increased by BDT 5.3 million (12% growth). • 26% increase in FCY sale and 33% increase in FCY purchase. • Total advances strands at BDT 19.80 billion. • Total fund under management grew by 15% in 2013 and strands at BDT 91.65 billion at the end of 2013. • Card acquiring volume growth was 23%.

3.4 Product and Services offered by BRAC Bank limited:

BRAC Bank offers a large number of products in Bangladesh. This bank starts from Corporate, provides investment, commerce services and capital market services, There are many kinds of product services are listed blew.

Savings Account:

There are many kinds of product service saving account is very important service. Give as flow.

Triple benefit account (TBS): Triple Benefits Savings Account offers a high interest rate of up to 9.5% p.a. Interest is credited to the account every month on average monthly balance. The minimum balance required for account opening is BDT 60,000

Savings account: This bank is very important services this saving account. Saving account is Customer main services. Customer main services saving account very important services.

This services is future progress life the man can not progress without saving account.

Future account: Future Star Account is designed to inculcate savings habit among children below 18 years of age. Future account is very important subject. But can’t provide the loan

Amount. Future amount start must be main guardian

Aparajita account: Aporajita Account is a savings account for female customers, which offers interest rate up to 8.5% p.a. Interest is credited to the account every month on day end balance. The minimum balance required for account opening is BDT 1,000.

Features of Savings Accounts in a flash:

Products Triple benefit Savings classic Future star Aparajita

account account. account account name &

features

Minimum Tk 56,000 Tk 6,000 Tk 200 Tk 2000

Opening

Deposit

Interest rate Max 7% Max 7% Max 7% Max 7%

Half Yearly Free if half yearly Half yearly N/A N/A

Account balance>tk 60,000 average balance

Maintenance & above ,tk 26,000 above

Fee: &below:BDT 26,000:BDT

400,above 6000- 400,above 6,000

26000 tk:BDT to 26,000:BDT

200,if average 200, average

balance 0 to6000: balance 0 to

Free 6,000:free

Current Account:

There are many kinds of current account under the give as flow.

Current classic account: Here are some of the most important accounts in the classic account. To open this account, the minimum cost is 5000 taka. This account is provided with a David Card credit card service.

Current plus account: There are many kinds of current account current plus account is one of them. This account minimum charge 50000 taka one David card.

Eizze account: This account minimum balance 2000 BDT one David card yearly charge fee 600 taka.

Campus account: There are many kinds of current account campus account is a very important subject. This account opening 500 BDT. one David card charge 300 BDT.

Salary account: There are many kinds of account salary account is very important account.

This account start has no amount. This account for debit card fee BDT 300+vat.

Source: Annual Report, 2016-17

Universal Cards:

This is a Visa/MasterCard dual currency credit card with worldwide acceptability. Its USD credit limit will be within approved BDT limit assigned for the cardholder. A secured dual card's limit will be maximum USD 30,000 against lien on RFCD or ERQ account.

Dual Cards can be issued against different entitlements:

• Travel Quota

• RFCD /FC

• ERQ

Universal Visa/MasterCard Classic

It can be used in local currency (BDT) within the country and foreign currency outside the country. This type of credit card has a limit ranging from BDT 10,000 to BDT 76,000.

Features:

Annual fee is your choice

Card cheque Facility

FAST Rewards Program e-Statement Service

Balance Transfer

Credit Shield Facility

Extensive SMS Service & Transact

Visa / Master Car Planet Debit Card:

Master card planet is very important card. Planet card is an initiative to protect this world and to present a better tomorrow for your future generations. When you are availing a planet card, you are donating for our environment-friendly initiatives which include:

 Waste management projects    Renewable energy projects.    Tree plantation programs and many more 

Loans:

This loan is generally short term and long term.it is based of finance fund are needed to expend the business.

Retail Loans are consumers’ loan. Based on the customer demand these loans are given. BRAC Bank has a wide range of retail loan-

1. Car loan 4.Study loan 2.Doctor loan 6.Salary loan 3.Top up loan 5.Credit card loan

3.5 Business Highlights

New branch:

In 2013 more new Branches have started their journey

1. Baniachong Branch ( Hobigonj, sylhet)

2. Uttara Jashim Uddin Avenue Branch

Launching of RFCD Debit Card:

In 2013, RFCD Debit Card was launched. This is the first international debit card of BRAC Bank. The easiest way to access the Foreign Currency Deposit Account and the RFCD Debit Card. This debit card will be used to pay the US Dollar after the initial withdrawal.

Launching of School Banking Program:

This program is launching BRAC Bank's school banking to make school's children safer. The problem of bringing children to school under this program has decreased. Account to future students for BRAC Bank students through school banking system

JCB card implementation project:

Japan, Thailand, Hong Kong GCB cards are very popular in all these areas. This card is very convenient for people who come to Bangladesh for business and travel purposes. The importance of this card for business and travel is not uncommon.

Bangladesh Road and Transport Authority (BRTA) in E-Commerce:

In the last 4 years BRAC Bank has succeeded in introducing business in e-commerce business. It was first launched in 2010. Through this e-commerce, there is a huge role in the purchase of tickets, bill payments.

3.5 Others Unit of Retail Banking SME Banking:

BRAC Bank being the youngest bank took a step to break away from usual tradition and tapped into the true suburb entrepreneurial initiatives. Today, with over 220,139 million of loans disbursed till date, BRAC Bank is country`s largest SME financier that has made more than 410,817 dreams come true SME Product

1) Loan Product

• Anonno Rin

• Apurbo Rin

• Prothoma Rin

• Durjoy

• Shomriddhi Rin

• Shompod Rin

• Shokti Rin

2) Deposit Product

• Prapti Current Account

• Prachurjo Fixed Deposit

• Shonchoy SME Deposit

Wholesale Banking:

BRAC Bank is closely affiliated with various corporation organizations. BRAC Bank is one of the leading banks in Bangladesh. For every business, BRAC Bank is adjacent to the side. A developmental development business development business

Product of wholesale baking as follows:

1) Corporate Banking

• Corporate loan Product

• Trade Finance

2) Cash Management

• Cash and Trade Overview

• Liability product

• Securities Service

3) Custodial Service

• Probashi Biniyog

Currently Term Deposit (TD) team is handling account Opening activity and TD activity from dingle point.

Source: Annual Report 2016-

Premium Banking, Supreme Banking, Excel Banking, Easy Banking: What are the difference between Easy Banking customer and other 3 (three) segments customer?

Criterion Easy Banking Excel Banking Supreme Premium

Banking Banking

Minimum BDT 50,000 to BDT 10 lac to

Annual Less than BDT BDT 50 lac &

Less than BDT less than

Average 50,000 above

10 lac BDT 50 lac Balance

Dedicated Branch, Premium ATM, CDM, Relationship AponSomoy, AponSomoy, Manager and Banking lounges, Customer Call Center & ATM, CDM, Counter in Dedicated Service Internet Banking Call Center & selective Relationship

Internet Banking Managers branches

VISA/

BRAC Bank BRAC Bank

VISA/ MasterCard

VISA/ VISA/ Credit Card MasterCard PLATINUM

MasterCard MasterCard

Eligibility GOLD Credit Card

Classic Classic

Credit Card along with Credit Card Credit Card

Priority Pass

Planet Card Planet Card Premium Debit / Planet Card (VISA/ (VISA/ Banking Privilege (VISA/ MasterCard) & MasterCard) & Platinum Debit Card MasterCard) Excel Privilege Supreme Card

Eligibility

Card Privilege Card (VISA/

3.8 Business development team: PB, supreme, excel, easy:

There are many development tem business tem is very important tem. The key activities are:  Managing the growth of existing portfolio    Ensuring delightful customer experience through ensuring timely service    Collecting customer feedback. Thus continuous strive to improve service and value proposition.   Implement & monitor business development plan.    Manage customer communication.   

Premium Banking Structure:

There are many banking premium banking is very important banking. The premium banking tem is a part of the individuals directly report who are responsible of the overall business grouth.

Currently, the following dedicated Premium Banking service points are available in the following Branches:

. Gulshan , Dhaka (Lounge)   . North Gulshan, Dhaka (Lounge)   . Banani, Dhaka (Lounge)   . Motijheel, Dhaka (Lounge)   . Uttara (Service Desk)   . Asad Gate (Service Desk)   . Satmasjid Road (Service Desk) 

Premium Banking Model:

Premium banking is a banking that is classified as a very high note value for the asset. The minimum qualification of this segment is 50 lakhs. Through this premium bank, customers will be appointed as a manager to meet their financial need.

Supreme Banking:

BRAC Bank has the highest banking monopoly subscriber. Supreme Banking offers exclusive banking services to those deserving customers. To be a member of this segment, the average balance of the customer will be between 10 lakh and 50 lakhs. Now the subscriber.

Supreme Privilege Card:

There is no charge for becoming a subscriber in the banking division. Supreme Banking customers observe various benefits by showing their supreme card. The role of this card is immense to enjoy various benefits

Easy Banking:

Excel Banking, Retail Banking Business Model. To understand the needs of current Excel customers, BRAC Bank offers services from Excel Banking customers. So that they are pleased with us and increase their deposit credit. \

Parameters Position of Excel Percentage of Retail Banking Banking

Total deposit BDT 21,766 Million 31% Total asset BDT 5557 Million 33%

Total customer 87,388 13%

Excel Banking Team:

There are many kinds of banking excel banking is very important bank .it is large business tem the tem is very progress tem.

Activities of Business Development Team:

Business Development Team takes initiatives to retain and grow the overall portfolio of the Excel Segment. Here are some important topics related to Business Development Team of Excel Banking.

Parameters to become an Excel Customer: Initiative by BDM: Business Development Team segments a customer as Excel based on following parameters:

Customer type Parameter/threshold

Existing customer Average deposit balance of BDT 50,000 to less than BDT 1 Million in last 6 months or Loan facility of BDT 0.5 Million to less than BDT 2 Million.

New-to-bank Average deposit balance of BDT 50,000 to customer less than BDT 1 Million from the month of account opening to the last day of the following month Loan facility of BDT 0.5 Million to less than BDT 2 Million.

Source: Annual Report, 2016-17

Initiative by Branch:

The branch can easily upgrade from Excel, which maintains deposit balance at Tk 60 thousand. Which reduced the cost of 1 million taka. To apply for upgrading to the customer's specified form, apply. BDM Liability operation after head approval of customer experience

Excel Debit Card:

An Excel subscriber will replace its existing Debit Card after receiving the Visa Visa Debit Card and will work in both Debit. After this SMS has been shown to a businessman on this card, it will be repeatedly available from time to time. If this card is requested to surrender its debit card before it expires, it will be easily downgraded.

Benefits & Value Propositions to Excel Customers:

Business development team presently offers various exclusive offers & benefits to our Excel customers. Here are some examples:  Discount at lifestyle outlets (Restaurants, fashion houses, jewelry stores, travel agencies, hotels, etc)     Weekend Offer at lifestyle outlets (applicable for specific weekends only)    Greetings via SMS & Email (New Year, PohelaBoishakh, Birthday, Eid, etc.)    Awareness message via SMS & Email    Faster banking service for Excel top priority customers   Excel banking team also sends cards to their customers on their birthdays in order to increase customer satisfaction. 

Excel Sales Team: There are many kinds of team excel sales team is a very important subject. The excel team is consumer goods team. There are many sales team very concavity. This working gathering for excel sales team.

Easy Banking:

On 2nd May 2012, BRAC Bank formally launched four segments in Retail Banking Business Model to facilitate more customized and convenient services as per the requirement of the customers. Easy Banking segment is one of them. As an Easy Banking customer, he/she can now free himself/herself from all intricacies of conventional banking. Customer can experience the ease of banking while using our ATM, Cash Deposit Machines, Internet Banking, e Commerce and many more facilities.

Total number of customers of Easy Banking is 422,735 (apx.) which is 83% of our total customers.

Objective:

• To encourage Easy Banking customers to use our Alternate Delivery Channels like ATM, CDMs, IVR, bKash, etc. • To convince the customer to maintain higher balance in their account so that they can be promoted to upper segments.

Benefits of Easy Banking:

As a member of Easy Banking segment customer can be entitled to the following benefits:

• An Easy Banking customer will be entitled to get fast and convenient transactional banking services through ATM, CDMs, IVR, bKash, etc.

• Easy Banking Customer can avail discounts and benefits from tie up partners by showing their “Planet Card”. • Easy Banking Customer can avail our Internet Banking and E-statement facility with free of cost.

3.9 Non- funded business (NFB)

The aim of Deposits & NFB wing is to ensure sustainable growth of Retail Deposit and Non- Funded Business portfolio through the following key activities:  Ensuring “New Customer Acquisition” as well as “Existing Customer Retention” through “New Product Development” and “Existing product re launching”.   Identifying portfolio growth opportunities through portfolio/product/business analysis and taking appropriate strategies to transform opportunities into positive outcome.    Launching new deposit campaigns to drive retail deposit portfolio growth    Implementing product level changes with the changing market scenario  

Non Funded Business is a combination of FCY buy/sell, Student File, Medical File, FDD/FTT issuance and other fee based service offerings. Our 12 (twelve) AD & Limited AD branches provide the service of FCY buy & sell, Student File, Medical File & FDD/FTT issuance.

Scope for Non Funded Income:

 Foreign currency (FCY)sell and buy:    Commission income from FCY sales    Endorsement fee from FCY sales    Student file    Medical file    Foreign Direct Demand (FDD)/ Foreign Telegraphic Transfer (FTT) & NOC issuance fee. 

Visa Facilitation Services (VFS):

DFS is a global organization. It’s works on various embassies. In Bangladesh, they work with the Indian High Commission, the Canadian High Commission, the Australian High Commission and the Italian High Commission.

International Organization for Migration (IOM):

IOM provides medical checkup facility on behalf of British High Commission among the visa applicant who wants to stay at United Kingdom for more than 6 months. BRAC Bank has booth inside IOM Sub-Offices & provides the cash management facility to IOM at Dhaka and Sylhet. A service charge is applicable for each applicant. Amount of charges: BDT 300

Schedule of charges from NFB income sources:

Sources Charges

FCY issue 1% of dollar amount (Free, if withdrawn from accountholder’s own RFCD or FCY account Passport endorsement fee (accountholder BDT 200 of BBL) Passport endorsement fee (non- BDT 500 accountholder of BBL) Commission on FCY sales 1% of FCY sales amount Student service- file maintenance BDT 5000 yearly Student service- renewal BDT 4000 (for one year) Duplicate NOC against student file BDT 500 Medical service- file maintenance BDT 2000 Travel relate service • USD 2000 or equivalent for SAARC countries & Myanmar • USD 5000 or equivalent for Non- SAARC countries Foreign Demand Draft (FDD) BDT 1500 +15% VAT Foreign Telegraphic Transfer BDT 1500 +15% VAT

Source: Annual Report, 2016-17

3.10Retail Lending Product:

Retail lending product team is responsible to cater the need of the retail customers and to ensure sustainable growth of retail product portfolio to achieve management requirement. The responsibility of Lending Product team is given below:

 New Product Development & process reengineering    Implementing product level changes with the changing market scenario    Product related communication    Product related risk management    Segment value proposition (Jointly with BDM Team)    Segment wise and channel wise in depth MIS management    Launching & coordinating lending campaigns to drive retail lending portfolio growth.    Tail Risk Management 

A snapshot view of the existing retail lending products is presented below:

Product Brief Description

Salary Loan Offered to the Salaried employees of different corporate bodies, MNCs, Small/Medium Sized local companies etc based on their monthly net income. Quick Loan Offered to Businessmen/ Self Employed segments that have sound business records for minimum 3 years with a valid trade license. For Doctors, 5 years practice proof is required. It is an unsecured lending product that means no security taken against this loan. Home Loan Home Loan is a term loan facility for the middle class to upper class people of the cities to purchase under construction / completed flats / apartments or construction / extension / renovation of house or flats. Under this scheme, the bank mortgages the flats / apartments before disbursing loan

Auto Loan Auto Loan is a term loan facility for purchase of non commercial new and reconditioned cars for personal use. Under this scheme, vehicle is hypothecated to the bank only. In addition to this registration requirement, the loan may also partially be secured by the commonly acceptable form available in the market as hypothecation.

Secured Loan/ These products are fully secured by readily en cashable Government SOD Securities or Bonds issued by own bank and deposits / fixed deposits with our bank. Other bank security can also be entertained subject to approval from Head of Retail Banking. This facility may be given to anyone who has sufficient deposits / certificates purchased and have the intension to keep those investments intact.

3.11 Retail Marketing

Retail banking always takes new initiatives. Retail marketing of BRAC Bank makes the price of the products per the bank in order to get value from customers to build strong customer. The retail market team works with the other team as well. So that it works with customers needs to integrate products with the needs.

The major areas that the marketing team looks after are:

Touch point branding and merchandising (Branch, ATM, Apon Shomoy) Strategic Alliance (Value proposition and features for different segments) Retail Brand management (Brand equity creation and health maintenance) Creative design Events and activations

Channel Development

BRAC Bank has wide range of Banking channels that includes Branches, ATMs, CDMs, Call Center, Phone Banking, Apon Shomoy (kiosk based banking outlet), Internet banking, Point of Sales [POS], etc).

Identification of improvement/development of process and services delivery Effectively manage projects (IT solution, Automation).

Works with other divisions for setting up new Branches/ATMs Pay Back Period Analysis of proposed channels

Tracking business growth of the Channels.

Assists 4 segments in developing new products/services/processes.

Be the contact point for co-ordination between branches & other head office department. Work on capacity planning for branch banking (Teller, BSSO per day productivity). Assist HoBB / HoRB/Regional Heads of Branch Banking to monitor the performance. Communicate all official Messages to the Channels etc.

3.12 Retail Risks

Preface:

BRAC Bank is one of the fastest growing banks in Bangladesh. BRAC Bank does special work to maintain various risks and proper functioning. In keeping with this continuity, BRAC Bank reaches the peak of development. BRAC Bank adopts a practice method known as retail and risk name. Created by the internal audit of BRAC Bank. Chooses the right kind of threats or opportunities.

What Retail Risks does:

Retail Risks supports better decision-making through a good understanding of risks and their likely impact. It brings far-reaching benefits to BRAC Bank Retail Banking Division. These benefits include:

1. Less time spent to deal with the unwelcome surprises

2. Increased likelihood of change initiatives being achieved

3. Reduced fraud and better value for money

4. Better management of contingent and maintenance activities

5. Improved service delivery

6. Closer internal focus on doing the right things properly

7. More efficient use of resources

8. Greater competitive advantage

9. Improved innovation .

Chapter 6 Marketing strategies of BBL

Marketing Strategies of BRAC Bank Limited.

Banks play a pivotal role in the social economic system as a developing country. These banks increase the standard of living of people. All private commercial banks of Bangladesh are playing a huge role in the economic crisis. This BRAC Bank has created a resurgence in the field of industries, as a model of development. The small rural area that plays the economic role is truly known as a development bank. Small lenders play a significant role.

TV Commercials:

Through the advertisement of television, various banks play a significant role in promoting their products. Through this advertisement the banker makes its products known to the customers and can reach their target. Customers can service their services through television advertising. From this it takes an effective turn of the market.

"Comparison" and "Unique Personality Property"

The Comparison commercial format informs the viewer of why the product or service is superior to similar products or services. It focuses on differences with competitors as opposed to the consumer's need for the product. A small business doing car or van rentals, for example, can use this format to focus on the benefits that a small business can offer over larger franchises. The Unique Personality Property format focuses on a unique selling point that makes that product different from the rest of the pack. It can be anything from features to unique design, inventor, product name or brand. "Show the Need/Problem" and "Symbol, Analogy, Exaggerated Graphic/Problem"

These two types of television commercials show the need for the product but in two very different ways. Showing the need or problem and then providing the solution 39 is one of the simplest types of ad. A need or a desire is presented that the advertised product can fix. The commercials that use a symbol, analogy or exaggerated graphic also show a need, but that need is introduced through symbolism or extreme exaggeration.

"Demo" and "Exemplary" Formats

A smaller company with a small budget should consider showing a segment of a demo of their product, using real people instead of actors. The Exemplary television commercial focuses more on the after effects. It shows how the consumer has benefited from his use of the product. For example, a commercial for a retirement plan can focus on happy, stress-free people vacationing somewhere warm.

"Testimonial" and "Parody or Borrowed" Formats

Testimonial ads are widely used in television and in direct mail advertising. In the ad, an actor or a real person will share his positive experience with the viewer. Take advantage of satisfied customers and offer them an incentive to share their experiences in a commercial. A small business could spoof a news report, showing a crowd of people outside of a store entrance and talking to a pseudo reporter about an exciting new product or store opening.

"Benefit Causes Story" and the "Symbol, Analogy Exaggerated FX/Benefit" The Benefit Causes Story format shows how using the product or service will cause something interesting or wonderful to occur. For example, perfume or deodorant television ads often show how using the product could cause members of the opposite sex to lose their inhibitions. A cafe or coffee shop could focus on romantic connections and positive dates. the benefit a step further, showing results that the viewer knows are improbable. For example, using a certain type of cologne will not cause mobs of women to chase the user down the street. A designer clothing company could use the format to show men dropping everything to follow a woman wearing the company's newest creation.

"Characters and Celebrity" and "Associated User Imagery"

Television commercials that use characters and celebrity are hoping to cash in on that individual's popularity. If a well-known celebrity is out of a business's budget, newscasters, leads actors from plays, and other familiar local faces may be a reasonable substitute. Associated User Imagery uses unknown characters or common stereotypes that the advertiser wants associated with the product. Both of these formats appeal to aspiration viewers who would like to be more like the celebrity or stereotype represented. From our survey we can see that out of all 10 chosen banks, only six banks including BRAC Bank Ltd. use this mode of marketing. It is mainly done for sharing the information of new products and services of the bank with the customers. However, each bank has their own style of communication through advertisements.

Mostly banks use the “show the need/problem” or “benefit causes story” to express the usefulness of their products. But the way how it is told is different for each 41 bank. Each bank adapts a unique style to get the attention of its customer and leave a specific image of the bank on the customers mind.the brand ambassador to keep up the image. On the other hand, Bank AL Falah is more concentrated on symbolic ads. They use the “show the need/probl. Bank also follows the same type of communication in terms of TV ads but the

ads they produce require higher budget comparing to other bank’s ad. The ads themselves leave an image of being a prestigious service of a very well known bank. They try to make their customers feel special by using their service. Now if we come to BRAC Bank Ltd, it follows the same as SCB and Bank Al Falah but here the style is different again. They follow such a strategy where it shows the problem more realistically. They want to show the usefulness of their product and services in such a way which is very close to life. They rely more on the emotional aspect of human nature. The emotions such as- love, marriage, family gets more concentration in the ads. The focus is more on the relationships and dreams of general people, their expectations and lifestyle.

Newspaper ads:

Newspaper ad is a form where the advertisement appears alongside regular editorial content. Display ads are generally used by businesses and corporations towards promotion of their goods and services and are generally for larger budget clients. It can be of any products or services or notice. Banks typically use this segment for their recruitment notice. Different types of newspaper ad are given below-

Classified Ads

Newspaper classified ads are probably the most cost-effective of all newspaper ads. Businesses are usually charged a higher rate than consumers, who typically market their wares or used items in newspapers. Newspapers charge a certain rate per line for classified ads. A standard classified ad may consist of three or four lines of copy at a standard rate. The rate increases with additional lines. Classified ads tend to be more effective if they are run consistently for a certain period of time. Repetitive classified advertising can increase a company's credibility as the consumer will often equate consistency with stability.

Business Card Ad

A business-card ad is a small rectangular newspaper ad that usually has a relatively thick outside border. The ad is about the size of a typical business card or slightly larger. Business card ads usually contain the name of a company, a little about the company's offer and products and a blurb that may differentiate a company from competitors: "Serving the great Cincinnati area since 1969." These ads may be placed near the classified section or in whatever space the newspaper publisher designates for them. They are frequently grouped together.

Coupon Ad

A coupon ad can be highly effective because the consumer can save money on a company's product or service. They are geared toward services or products that people use frequently. Coupon ads can be any size, but publishers usually keep the size fairly uniform throughout the newspaper.

Circulars Circulars are the glossy inserts that come tucked inside a newspaper. They are frequently printed by a third party and shipped to a newspaper's printing center, where they are inserted into the paper. Because of their expense, circulars are most commonly used by national chains who can advertise in a variety of markets.

Display Ads

Newspapers usually offer either quarter-page, half-page or full-page display ads. Small display ads may be available, but the size of display ads stays consistent because newspapers usually advertise their rates in their media packets. Display ads are used to build awareness of a particular product or service. They may also inform people where to call or write for more information. Sometimes, full page ads contain order forms, which are considered a direct-response ad.

Legal Advertising

Legal advertising generally appears in or near the classified ads. Legal ads contain information that is required by law to be made available to the public. The information is usually of a specific and professional nature. Notices to creditors, name changes and information about public hearings are typical of this type of advertising. Any individual placing legal advertising will generally do so with the advice of an attorney. From our survey we can see that out of all 10 chosen banks, all of them use this mode of marketing. Because, it is the most popular way to reach the target customer. Newspaper advert is more sophisticated and it stays for a long timeline. It helps to create positive relationships with members of the community to build a loyal customer base. As a publisher's reputation grows, community members begin to trust the company for providing timely and accurate information and often begin to believe that a trusted local publisher won't do business with companies that are untrustworthy.

Mostly banks use the Classified Ads to express the usefulness of their products. Each bank uses this method in different manner through different sensory ways. In news paper ad, Bank tries to relate the TVC with the newspaper ad. It is a very popular way to advertise in newspaper. All the design, word, models are similar to the TVC, so that the customers can relate the Newspaper ad with the TVC and there

is no confusion with the massage. Now, if we compare the trend of newspaper ad of every bank we will get some interesting findings. Banks mostly use some specific newspapers in Bangladesh including Financial Express, Daily Star, Daily Sun and the other popular Bengali newspapers. From the survey, we see that Basic Bank doesn’t really publish newspaper ads, but it has been in discussions in the Daily Sun and Daily Star for the bad loans pile up in aggressive lending. NCC bank, on the other hand, is very much active in this mode of communication. The recent ad they have published was about a new branch opening in Sylhet. It was published in Daily Sun. However, most of their ads are seen on Financial Express. They use this newspaper to let their stakeholders know about their current situations and ups and downs of the company. Next comes the Standard Chartered Bank. It is mostly dependent on the online news and its ads are mostly shown on online news websites. BD 24×7 is the main news web they use. However, in terms of news sharing Financial Express is also in their preference list. Here they don’t actually use the advertisement section. They are more concerned about sharing the news of their banks with their stakeholders and thus maintain the communication with them. HSBC uses newspapers very wisely. They use it as a mirror of their company but they only shows what is beneficial for them. They use it to let their customer know about every single new and innovative step taken by them. For example- Financial Express released their news on celebrating Universal Children’s day and organizing Business case competition. So it shows the CSR activities done by HSBC to its customers. But they mostly used the newspaper for their circular of job vacancy. The Daily Star and the Daily Sun are also in their preference list. HSBC also tried 45 to reach the customers regarding any event using the newspapers. For example The Climate Awards 2012, Water Program. The promotional methods used by Bank AL Falah could not have been more different to HSBC. Any event, any promotion, or any notification sent to the customers is done through their online news portal, seldom newspapers. DBBL uses newspaper for sharing information with its customers but in terms of ad the circular of job vacancy are mostly given on newspaper. They don’t have certain preferences of newspapers but they try to select the popular ones with most coverage. DBBL rarely publish any ad on the newspapers. It uses websites like bdjobs.com to publish its job vacancies. However, Shahjalal Islami Bank uses newspapers for various ads. Like HSBC, SIBL uses Financial Express, Daily sun as its preferred newspapers. The company profile or information is shared through these newspapers. AB bank recently published some news updates on Financial Express but no ads took place in newspapers other than the job vacancy ads. Lastly if we compare BRAC Bank Ltd. With all these banks, we will see that BBL is also using the newspaper very intelligently and tactfully. They rely more on informative ads, for example- sharing the HR vision. It almost publishes all its new achievements or events to communicate with the customers and keep on knocking to customers mind. Unlike other banks BBL used to release news on their business conferences. However, the preference list of newspapers is almost the same as other banks. In terms of ads, BBL is also shown to publish circulation of job vacancies. Actually BBL is using this mode of marketing very effectively. Their newspaper exposure is pretty higher than other local banks, as being the 2 nd position holder in the entire Bank Industry.

Leaflet There are many types of leaflets, some examples are given below:

Survey leaflets Survey leaflets are every common type of leaflets that are used for taking any information from customers.

Information leaflets Information leaflets contain specific information about the service, the terms, and cost of the services. Leaflet, is a form of

Promotion leaflets

All the promotional information’s are provided in the promotional leaflets that are needed by customers. In promotional leaflets info related to specific services are mentioned only. Paper advertisement intended for wide distribution and typically posted or distributed in a public place or through the mail. In the context of Bank’s marketing strategy leaflet are often distributed inside the bank premises. It is very important for a bank to emphasize on the foundation, look and feel, size and distribution system of leaflet as it represents all the services of a specific bank. In a banks leaflet mainly contains their specific services, the interest rates, maturity time and the conditions. Among 10 surveyed banks only NCC bank, HSBC, Dutch Bangla Bank doesn’t use leaflets. Basic Bank mostly uses the informational leaflets. Those leaflets contain the new services or the most popular services. SCB, Bank Al Falah and UCBL 47 are using same kind of leaflets but they are using it as a promotional tool as well. On the other hand, AB bank and Shahajalal Islami Bank are using leaflets in a different manner. They are using to motivate people by using the survey leaflets containing the data of appreciation of each product. It helps to convince their customers regarding the benefits of their products and services and how useful they have proven to be over time. They are also providing informational and promotional leaflets long with the survey ones. BRAC Bank provides leaflets to its customer so that they know the new services and the latest news. Leaflets are sorted beside the service booths in almost every branch. The leaflets contain information in such a way so that customers can easily relate with the TV and newspaper ads. They intentionally make the design of the leaflet as such so that it can leave a permanent image on the mind of the customers and create an unique position. Sometimes the seminars, the conferences and various meetings are also communicated through leaflets. BBL mostly uses informational and promotional leaflets.

SMS Marketing

Short Message Service (SMS), or text messaging as it is also known, is the most widely used data application on earth. In Western Europe, almost 80 percent of all mobile users actively use SMS on a regular basis. Compared to other marketing channels, mobile marketing is cheap per marketed individual. Its other advantages include being time- and location-specific, instantaneous, discrete and spam-free. 48 Types of SMS marketing is given below:

Auto Response Campaigns

The Auto Response campaign type is the easiest way for customers to engage with your brand through text messaging. When a customer texts a keyword to this campaign they will instantly receive your defined text messages back on their phone. Offer them discounts, coupons and exclusive offers directly on their phone to encourage high participation.

Scheduled Campaigns

With a Scheduled campaign you set the predefined times your subscribers will receive a message on their mobile phones after opting in to your campaign. Text board allows you to use multiple keywords that are active on other campaigns so you can make sure all your subscribers receive exactly the right message at exactly the right time.

Staggered Campaigns

A staggered campaign is exclusive to Text board. This campaign type allows the organization to target its customers based on when they subscribed. Unlike a scheduled campaign that sends the message at defined dates and times, staggered campaigns will send messages at predetermined intervals after an individual joins the mobile subscriber list. Staggered campaigns are great for tourist locations or for businesses that want to reach customers frequently over a small period of time.

Voting Campaigns

Customers can text in and vote on their favorite items. The bank only needs to specify the voting options which can be changed at any point in the future. Voting results are displayed in real time in the Text board campaign dashboard. Because the subscriber lists are so well-segmented bank can even follow up with just the people who voted for a specific option. Most Banks use Scheduled Campaigns and Auto Response Campaigns as SMS Marketing strategy. For SMS marketing a company needs a strong database of potential customers. Often third-party vendor provides the information about them. Each bank adapts a unique style to get the attention of its customer and leave a specific image of the bank on the customers mind.

Contest Campaigns

Run a live contest to encourage customer loyalty. One can control frequency of entries, how winners are selected and what messages they get back. Successful entries are saved to the subscriber list that can then be marketed to in the future. Contest campaigns get passed around quickly and can grow rapidly. However, nowadays some new dimensions have been added with the SMS marketing like sending SMS to the valued subscriber on their birthday, anniversary or any special occasion including EID, New Year and so on. It makes the customers feel that the organization or SMS sender is personally related to the person who makes them feel really special and overtime helps them to become more and

more loyal. For banking sector it can be a very good mode of marketing almost all the banks are using this strategy now a days. The overview of all 10 surveyed banks is given below.

Among the 10 different banks surveyed only BRAC bank and NCC bank doesn’t use this promotional strategy. It is mainly done for sharing the information of new products and services of the bank with the customers.

But three things are to be kept on mind while using SMS Marketing: 1.Give customers the option to STOP, 2. Watch the frequency 3. Less is more. However, in sms banking one thing needs to be kept in mind that the frequency of sms should not be irritating for any customer. Otherwise it will have a negative impact on the business.

UCBL, SCB and HSBC are very much efficient in this sector. They have a very strong database of their customer which they have managed to keep really confidential. Along with the database they possess a very strong IT dept from where the sms transfers can be monitored almost perfectly. All of these three banks are using scheduled campaigns and auto response campaigns. Apart from these two types UCBL is using the greetings sms as a very effective promotional tool. SCB is using the contest campaigns beside its traditional sms. It has noticed to become more popular day by day. Rests of the banks are using almost all the types of sms marketing. Basic Bank, Shahajalal Islami Bank, AB bank, DBBL are some of these banks.

BRAC Bank is recently focusing on this area. It has the notification SMS service already. BBL is also introducing SMS banking. It uses SMS marketing in a mannered way, after every new services launched in the market they try to inform the potential and current customers about the new services.

Relationship marketing

Marketing tool that is aimed at managing and trusting long term relationships with larger customers are called Relationship Marketing. In relationship marketing, customer profile, buying profiles, and history of contacts are maintained in a sales database, and an account executive is assigned to one or more major customers to fulfill their needs and maintain the relationship. There are 5 types of Relationship marketing, these are described below:

Basic Marketing

The salesperson sells to the final customers. This is also known as direct sales. In Basic Marketing the Salesperson tries to communicate with the customer so that they can form a better relationship.

Reactive Marketing

The sales person sells the product and encourages the customer to call for any comments or enquiries.

Accountable Marketing

The sales person calls the customers to ensure whether the product is working as per satisfaction and if there is any problem in the product. Furthermore he also asks the customer for any suggestions / feedback to improve the service / product. Thus he is taking responsibility for the sale. Thus he is taking responsibility for the sale.

Proactive marketing

The company works continuously with its large customers to help improve performance. This is especially seen in financial companies wherein the movement in the financial market induces the company to make changes regularly. However at the same time, these financial companies have to take care of their customers as well. Thus they take regular feedback from their large customers thereby developing their products accordingly. The company works continuously with its large customers to improve its performance. An example would include General Electric which has stationed Engineers to its third party service centers to improve overall performance.

Partnership Marketing

The company works continuously with its large customers to improve its performance. An example would include General Electric which has stationed Engineers to its third party service centers to improve overall performance. Thus even in partnerships GE is ensuring optimal relationship development with the parent brand. Among the 10 surveyed Banks, All of them practices relationship marketing. Because of having a long term benefit of Relationship Marketing Banks emphasize on this marketing strategy. Retaining customers for the long-term offers many benefits. The aim is for the company to obtain life time custom. Some of the benefits of relationship marketing include: Loyal customers will recommend one business to others, thus expanding the business for you. Loyal customers are willing to try some of the new products offered by the organization, because they trust it. Customers will be willing to pay more for the services/products if there are adjustments in pricing because they are loyal to the company and trust the services/products. Loyal customers will help to identify the problems with the products/services enabling to improve them. The ultimate benefit will be an increase sales, market share and dominance. All the 10 Surveyed banks use this strategy for having the life-time customer base. Relationship marketing helps to understand customers better. As any Bank can segregate their customers into groups based on their characteristics like purchasing power, frequency and volume of sale transactions it is very popular in Bangladesh. It also helps to get valuable feedback from customers and understand their needs and expectations. This subsequently helps in value addition to products and services based on these demands and leads to happier customers as they get involved into the value creation process.

BRAC bank has a division named Relationship Marketing so that they can fulfill their Relationship marketing strategies. Moreover the managers of each branch are responsible for maintaining such relationship with their valued clients. It is one of their job responsibilities.

Chapter 7

Concluding Part

Summary of Findings

Findings of the study:

Positive Findings

Analyzing Customer banking system of BBL I have found out following issues-

• BBL always tries to satisfy their customers through quality services. BRAC Bank is one of the four banks in terms of service quality perception among thirty banks. In 2009 BRAC Bank had launched the campaign called “Joy of Banking” with the view to reaffirm commitment to service quality and customer experience. We are ideally the first bank to make a dedicated department and addressing service related issues structurally. As a very first step renamed ‘Customers’ to ‘Guests’. Believing that every customer who steps into the bank is Guest and to fulfill his/her requirement successfully according to expectation. Also strengthening relationship of mutual faith and understanding the guests and their satisfaction.

• BBL tries to provide quick services to the customers and try to solve problems of the customers as soon as possible. The two biggest challenges of service quality were our large customer base of 1.2 million, which makes our branches very crowded, which leads to increasing lead time of rendering service; on an average it’s 23 minutes in a heavy traffic branch. And the second is the perception of hidden charges. Bank has launched a campaign early 2011 called “Grahok Odhikar” to address this issue; displaying list of charges at all the branches and bank’s website. Also inspired our Guests to ask for the charges of the bank. To address these issues possible campaign be suggested.

• All the employees of the customer services to the customers and try to solve problems of the communicational skills.

• Customers of the Bank pursue a great attitude about the Bank.

• BBL provides excellent banking environment for both the customer and the bankers.

• Agency is welcome for any change or modification, keeping in mind that, the emotional connectivity of the brand position must be able to achieve a greater emotional position (i.e Amar bank). It must be at the top of the emotional ladder among the competitions communication.

Negative Findings

• BBL customer service charges are much higher than other commercial Banks in Bangladesh. This charges system should be charged. Otherwise it can be threat for the Bank in future.

• The remuneration package dissatisfies the bankers because it is for their hard work.

• Phone banking system found busy in many time.

• There is some hidden cost in products or services which cause the customer sometimes in difficulty and sometimes the officers are not telling it to the customers properly which in the long run can hamper their business. Officers should clear every paisa about the costing to the customer clearly.

RECOMMENDATIONS OF THE STUDY:

From the analysis and observation, the following recommendations have been formulated in order to smooth operation of Banking Business and to make the A/C processing more efficient-

Skilled manpower in the line of Retail Banking Operation must be accomplished through proper training, remuneration and job satisfaction. In the background is the face of individual achievement. It is where a person has taken the charge of his/her own destiny. In the foreground is the expression of progressive youth. It is where the faces lit with the light of your brighter future. The individual achievements and faith speaks for the future for all. In short, BRAC Bank faces express ‘you can do it too’ attitude. Necessarily, all the ambiance is the future Bangladesh we want to see.

Latest development in the business should be introduced accordingly. Easy to understand and comprehend, polite and courteous, non-imposing, confident but not arrogant, active, inspirational and avoid over promising. Must speak in first person terms – BRAC Bank as “we” and customer as “you”.

Since the whole process is largely depend on human skill, properly planned training program should be arranged and implemented for the improvement of technical and conceptual skills of the dealing officers.

The time requirements in the processing of A/C have to be minimized.

Step should be taken to improve the coordination between the officers involved in the A/C issuing process

CONCLUSION:

BRAC Bank is a private commercial bank focused on Small and Medium Enterprises founded on 4th July, 2001. The company consists of 155 branches, 400 SME unit offices, 675 Remittance Delivery Points, Over 320 ATMs and 12 Kiosks across the country. BRAC Bank is among the last few organizations to have received a commercial banking license from Bangladesh Bank. Its Headquarter is based in the capital Dhaka. IN this year we have target to make BRAC Bank a totally process emphasizing Bank. For this we are making the process guideline. Consumer service delivery is doing its functions continuously to improve the existing process of the Bank and make this process easier, risk free and customer centered. As a department we are doing the works of consumer service delivery very sincerely. Though there is a lot of workload we are trying to do our works delightfully. This is a great responsibility to make process modern and risk free. In this way consumer service delivery department as an operational department serves its functions to make help the bank to do its works efficiently and effectively.

References

• Bangladesh Bank related websites

• Different Check list provided by bank

• http://www.bracbank.com/php/product/include_retail.php?page=6

• Three months working experience in BRAC Bank

• Annual report of BRAC Bank Limited.

• Periodicals published by the Bangladesh Bank.

• Website of BRAC